RE: RE: PresentationGoofy math again. The 40% royalty applies to the 40% W.I, it does not add to it. Doing the math properly and they end up with 24%.
So before they added to their position they would have 18%, now it is 24% at no cost except development. The LFD management must be very confident the reserves are there as they doubled the development costs but the return only went up 33%. Of course have a well which produced 4800bbl/day, probably without stimulation, would probably install that confidence.